Ecommerce & Web Marketing Research: July 1 - 10 2005

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July 10 2005

Sasser creator convicted, but..

The creator of the Sasser virus, who wreaked havoc last year could have received up to 5 years jail, but was instead given a 21-month suspended sentence and ordered to do community service. The reason for the light penalty was the fact that he was just 17 at the time the virus was unleashed.

The leniency is all well and good, but something that disturbs me greatly are reports I've read that this person is now employed by an anti-virus software company. The logic is that people with this sort of "genius" are perfect candidates for this kind of employment. That may be so, but what  message are we sending to people wanting to get into the security industry? Is the CV and valid industry experience to be overtaken with destruction being the key to securing employment?

Updated article - Web site file base structure

If you're just starting out on the web with your first site, you can avoid many headaches in the future in terms of file base structure, plus gain better search engine rankings by following a few simple guidelines - read my updated Web site file base structure tutorial for some valuable tips!

Venture capital for RSS projects

RSS Investors, a group of investors based in Massachusetts, have formed a venture capital program with the aim of raising $100 million to fund projects and research into RSS development. I wasn't able to find this group's site at this stage, well one with any real information, but this is sure to get those into RSS buzzing.

RSS is an acronym for Really Simple Syndication (one of the translations. It's  a method for publishing content through an XML feed.  It *may* eliminate the need for mailing lists in the future. While RSS does provide great opportunities for marketers, it does have it's challenges - for example, you will never know who is actually on your list of subscribers.

People use special software called an aggregator to find feeds of interest, they subscribe, then the aggregator checks for content updates and displays them to the subscriber. Most blogging software now incorporates RSS features.

By the way; I've had a lot of people ask me for it, so I've re-introduced an XML/RSS feed for Taming the Beast.net - get it here:

If you're looking for an RSS news reader application, I recommend RSSreader - it's free!

July 8 2005

India - 100 million online by 2007

The Internet & Online Association of India has released a very interesting report that should start turning the heads of those involved in marketing and ecommerce. While the current online population is at 25 million, this is expected to grow to 100 million in just a couple of years. Added to that, online spending by users in India is predicted to increase by 300%. 

Many might ignore India, thinking that users may not have money to spend, but bear in mind that literally billions of dollars has gone to that country due to Western countries outsourcing. Much of that outsourcing has been in the IT sector and employees of India's IT sector of course don't have a problem with spending online :). 

According to the 100+ page report; books, gifts, electronic goods and fashion related items are the most popular online purchases.

As the US market matures, it's really time to start thinking globally - India is definitely a country you should consider in your next marketing plan.

Download the The Power Shopper: IOAI E-Commerce Report 2005. You'll need to register for the download, which is free. It's well worth a read!

July 7 2005

US online users wising up?

A Pew Internet & American Life Project survey of over 1,000 US Internet users seems to indicate that people are finally starting to become more security aware. Among the findings:

• 81% of those surveyed stated they have stopped opening email attachments unless they are sure the items are safe.
• 48% stated they have stopped visiting certain sites out of fear of malware/spyware being installed on their systems.
• 18% of internet have switched browsers for security reasons.

This is really nice to see! So, can online businesses expect to see a decrease in viruses and malware generated spam hitting their inboxes in the short term? 

In my opinion, not a chance - in fact, I still believe we'll see more of it in the years ahead. What I'm noticing in spam and viruses that come through is that a greater percentage are originating from non-US machines; and the overall number is not decreasing. As other parts of the world, particularly Asia, start jumping onto the Internet bandwagon, we'll see the same learning curve that US users have had to go through as they start to understand that the web is full of security threats.

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More consumer electronics being purchased online

A survey carried out by the Consumer Electronics Association (CEA) has stated that the purchase of consumer electronics via online shopping is growing. Key findings:

• 5% of all consumer electronics purchases are made online 
• Over 10% of all computers, digital cameras, wireless home networking and portable music players are purchased online
• Online consumer electronics shoppers surveyed expressed higher satisfaction with purchases
• Online CE shoppers appear to be more loyal clients. 52% stated that they were loyal to a store brand, compared to 37% "real world" shoppers
• Consumers who purchase at least some CE products online spend 67% percent more on CE items each year, with 29 percent of the total amount spent via online purchases.

July 5 2005

Search nostalgia

It's hard to believe that Google, previously a project known as BackRub, started up just over 7 years ago. I remember discovering Google via a student who was part of a project I was coordinating in early 2000. I still remember seeing the familiar form for the first time on his workstation. "What the hell is that?" I asked. "It's a search engine" he said. "Why aren't you using Alta Vista? And what is a Google anyway? What a stupid name for a search engine!". He then ran a search for me and well, I was hooked. 

If it sounds as though I'm getting misty-eyed over a search engine, as sad as it may sound, I guess I am. Google's technology allowed me to explore and learn more faster. If anything, Google increased my passion for the web. It helped me understand online business. The other point I love about Google is how it started - much like Yahoo, just a couple of guys with minimal resources. I really admire that sort of pioneering spirit, it's a great example to the rest of us who dream about building a life around an online business and pushing the boundaries of what can be achieved with the web. 

Have a dream - then make it real...

Learn more about the history of Google.

July 4 2005

Online gambling - the human cost

I run various ads on Taming the Beast.net; but something I always try to steer clear of is promoting online casinos. There's good money in it, but given my own dark days up until decade ago, when gambling played a role in my own battle with addiction; I just can't bring myself to do so. It's articles like this one I found on the BBC that remind me it was a good choice. No offense to anyone who owns a gambling site or chooses to promote them, but it is food for thought.

July 3 2005

Phishing on the rise, viruses decreasing

Postini has stated in a recent report that phishing attempts during June had spiked over May, after a couple of months of decreases. Postini blocked over 16 million phishing attempts during June, which represents a 71 percent average per day increase over May.

Postini also reported a 23 percent drop per day on average in relation to the number of viruses received via directory harvest attack methods.

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July 2 2005

US to retain control over root servers

In a backflip on previous commitments, the US Government has decided it will not relinquish control of the 13 root servers that are the central hub of the Internet to ICANN, the Internet Corporation for Assigned Names and Numbers. The role of these root nameservers is explained in greater detail on Wikipedia.

The decision to retain control could incense other governments and foreign companies - with a worst case scenario of a fracturing of domain name systems as other countries decide to implement their own.

Christmas marketing - yes, that's right

Unbelievable, it's started already. I am convinced that each year the commercial world starts marketing for Xmas just a little bit earlier than the previous year. I'm seeing references in my inbox already and the marketing industry is starting to buzz about this years' tactics. While I recognize that Christmas is a very important time of the year for many online retailers, the true roots of the holiday are lying bleeding in the gutter. That being said, I once again dust off my Christmas marketing considerations article for your review :).

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